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Limit on big spenders after Hain’s ego trip

The Hain fiasco has exposed
over-the-top election spending, says our Westminster insider

Limits on the totals raised by Labour leadership candidates in future elections are to be introduced in the wake of the Peter Hain row.

Electoral Commission figures show the PM raised £215,000 for his non-leadership campaign. Hain's been pilloried for forgetting what had happened to £103,000 and raised a total £185,000, while the five other candidates in the contest for the deputy leadership - regarded by many as a 'non job' - raised between them a total of £536,763.

These huge sums, mostly raised through unions, have sickened many Labour MPs who regard the Hain fighting fund as a mark of his own ego. It would be ludicrous to allow this situation to continue while the Government is seeking to curb spending by the parties on the general election.

While Hain's future as Pensions Minister remains in question - he appeared isolated at

PMQs yesterday - the issue has been discussed among officers of Labour's National Executive Committee.

David Cameron, the Tory leader, is also biting his fingernails over whether he has to reveal the names of more donors whose money helps Shadow Cabinet members run their private offices.

George Osborne, the Shadow Chancellor, got into hot water at the weekend after it was disclosed that he had failed to register the names of those who paid a total of £487,000 in donations to Conservative Central Office (CCO) earmarked for running his private office. They included £100,000 from Lord Harris of Peckham and £190,000 from Serena Rothschild, of the banking family.

Osborne isn't alone. Other Shadow Cabinet members have not declared donors' names, although the totals have been declared. Cameron said on Monday the Tories had asked for 'urgent advice' on whether the names of donors to other Shadow Cabinet members should be revealed. Stand by for more names to be 'outed'.

FIRST POSTED JANUARY 17, 2008

News & Comment: News & Politics